E282: Why LPs are Investing into Independent Sponsors

What role do independent sponsors play in today’s lower middle market private equity ecosystem? David Weisburd speaks with Tom Duffy about how TIFF partners with independent sponsors, why deal-by-deal investing can improve alignment, and what differentiates high-quality sponsors in a rapidly growing market. Tom explains how sourcing, economics, and hands-on diligence shape long-term GP relationships and inform future fund commitments. Highlights: TIFF’s dual business model: OCIO services and private market strategies Growth of the independent sponsor market and what’s driving it Why deal-by-deal investing can improve alignment and diligence Key attributes that define high-quality independent sponsors How flexibility and economics attract experienced PE professionals Fee structures and GP commitment in sponsor-led transactions Using early deals to underwrite long-term GP partnerships The importance of sourcing differentiation and resilience How sponsor relationships can evolve into fund investments Guest Bio: Tom Duffy is a Director on TIFF’s Private Market Investment Team, where he focuses on lower middle market private equity and early stage venture capital strategies. TIFF is an outsourced chief investment officer and private markets platform managing over $10 billion* in assets, with a long-standing focus on alternatives and private markets. Tom works closely with independent sponsors and emerging managers, underwriting both deals and long-term partnerships across the lower middle market. *TIFF assets under management (AUM) is as of 9/30/25 and includes discretionary and non-discretionary client assets for which TIFF affiliates provide investment management or advisory services. The private markets portion of TIFF AUM is calculated based upon fund net asset value plus unfunded commitments. Calculation of TIFF AUM differs from the calculation of regulatory assets under management in TIFF’s Form ADV filings with the SEC and may differ from the AUM calculation methodologies used by other investment managers. Our Podcast now receives more than 300,000 downloads a month. Are you interested in sponsoring an episode? Please email David Weisburd at david@weisburdcapital.com. Stay Connected with David Weisburd: X/Twitter: @dweisburd LinkedIn: https://www.linkedin.com/in/dweisburd/ Weisburd Capital: https://www.weisburdcapital.com/ Stay Connected with Tom Duffy : LinkedIn: https://www.linkedin.com/in/tom-duffy-cfa-cfp/ Questions or topics you want us to discuss on How I Invest? Email us at david@weisburdcapital.com. Disclaimer: